Rental industry accounts for 300,000 UK jobs
By Kyle Lindsay
Tuesday, December 23, 2014 - 09:00
The vehicle rental and leasing industry contributes £24.9bn per year
Over 300,000 UK jobs are supported by the renting and leasing industry alone
A new BVRLA commissioned report from research organisation Oxford Economics has shown that the vehicle rental and leasing industry contributes £24.9bn per year to the UK economy while supporting over 317,000 jobs.
The £24.9bn figure includes operations within the industry, vehicles manufactured in the UK, engine purchases, UK dealership activities and its impact on the used car market.
The vehicle rental and leasing industry also generates approximately £5.2bn of tax revenue per year, which is equivalent to £81 per UK resident.
53,600 people are directly employed by the industry and in the UK, total employment supported by the industry is equal to 1 in every 88 workers. For every 100 employees within the sector, another 270 are employed elsewhere through wider supply chain and consumer spending effects.
In 2013, vehicle rental and leasing companies purchased approximately 308,000 UK manufactured vehicles which accounts for more than 80% of UK vehicles sold in the UK. Estimations show this large purchase supported nearly 90,000 jobs, £1.4bn in tax receipts and a £4.3bn gross value added contribution to GDP.
The research affirmed that vehicle leasing gives UK businesses access to fuel-efficient, modern vehicles, lower capital costs and fleet management services, as well as the opportunity to take-up services like maintenance, insurance and incident management, which frees up resources and working capital.